Exercise 228 On October 1, the Pharoah Bicycle Store had an inventory of 27 ten speed bicycles at a cost of $159 each. During the month of October, the following transactions occurred. Assume Pharoah uses a perpetual inventory system. Oct. 5 6 Purchased 197 bicycles at a cost of $150 each from the Nixon Bicycle Company, terms 2/10, n/30. Paid freight of $1,000 on the October 4 purchase. Sold 17 bicycles from the October 1 inventory to Team America for $260 each, terms 2/10, n/30. Received credit from the Nixon Bicycle Company for the return of 25 defective bicycles. Issued a credit memo to Team America for the return of a defective bicycle. Paid Nixon Bicycle Company in full, less discount. 13 14 Prepare the journal entries to record the transactions assuming the company uses a perpetual inventory system. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Round answers to 0 decimal places, e.g. 2,520. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit (To record credit sale) (To record cost of good sold) (To record credit granted for returned goods) (To record cost of good returned)